[Feature Stock] Shift Up Drops Over 5% as Brokerages Cut Target Prices

Shift Up saw its stock price decline in early trading on the 12th. Investor sentiment appears to have weakened due to a series of target price downgrades by securities firms.

As of 9:16 a.m. on this day, Shift Up's share price on the Korea Exchange was down 5.17% from the previous trading day, standing at 41,250 won. The stock opened at 44,550 won and at one point during the session dropped to as low as 40,400 won.

On this day, major domestic securities firms lowered their target prices for Shift Up, citing weak performance in the Chinese market and a lack of new releases. Korea Investment & Securities lowered its target from 70,000 won to 54,000 won, Samsung Securities from 54,000 won to 40,000 won, and NH Investment & Securities from 70,000 won to 55,000 won.

Jung Ho-yoon, an analyst at Korea Investment & Securities, stated, "The initial sales figures for Nikke in China fell short of market expectations," adding, "There is a high possibility that earnings forecasts will be revised downward overall starting in the third quarter." He continued, "While stable profit generation is expected in the second half of the year, patience will be required until new momentum, such as new releases, emerges."

Samsung Securities also commented, "The upside potential for the stock price is likely to be limited due to declining sales from existing titles and the absence of new releases." NH Investment & Securities similarly analyzed that the company has entered a momentum vacuum period, as no new releases are expected until the second half of next year.